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Second Intersection Confirms Further Uranium on C10 trend at CanAlaska's West McArthur Project Diamond drill hole WMA042-2 intersects 1.4% eU3O8 over 5.1 metres

Drill Results

Second Intersection Confirms Further Uranium on C10

trend at CanAlaska's West McArthur Project

Diamond drill hole WMA042-2 intersects 1.4% eU3O8 over 5.1 metres

Vancouver, British Columbia--(Newsfile Corp. - September 12, 2017) -

CanAlaska Uranium Ltd. (TSXV:

CVV

) (OTCQB:

CVVUF

) (FSE:

DH7N

)

("CanAlaska" or the "Company") is pleased to report interim results from drill hole WMA042-2, a wedge

from mineralized drill-hole WMA042 (1.4%

eU

3

O

8

over 5.1 metres), on the West McArthur uranium project ("Project"). The

ongoing drill program is being conducted by

Cameco Corporation (TSX:

CCO

) (NYSE:

CCJ

)

.

Drill hole WMA042-2 commenced at 275 metres downhole in strongly bleached sandstone with characteristic clays and

alteration similar to that overlying nearby uranium deposits. Seven fault zones are reported. The drill hole is across the conductor

trend and intersected the unconformity approximately 24 metres southeast of the mineralized intersection reported for WMA042.

(see news August 30 2017) The calculated average grade of the uranium intercept, as measured by calibrated probe, is 1.4%

eU

3

O

8

over 5.1 metres (Table 1).

Table 1

:

Equivalent Uranium Grades — WMA042-2

Hole

Number

Depth From

(m)

Depth To

(m)

Length

(m)

Max Grade

(%

e

U

3

O

8

)

Avg Grade

(%

e

U

3

O

8

)

GT

(m%)

WMA042-2

773.3

778.4

5.1

5.7

1.4

7.1

The uranium mineralization is disseminated within a brittle sandstone fault at 768.4 meters to the unconformity at 778.0 metres.

The fault is characterized by broken to unconsolidated core with strong sooty pyrite, 16% core loss, strong quartz dissolution,

and strong clay replacement that includes 10-40 cm wide sections of massive clay. Detailed assays and interpretation from the

drill program is expected to be reported in October.

Cameco is carrying out the current work as part of an option to earn a 60% interest in the West McArthur project. Cameco has

paid CanAlaska an initial $725,000 and has the right to earn a first stage 30% interest for a $5 million exploration program

within 3 years ($1.1 million to date) on two separate target areas: Grid 1 and Grid 5. Cameco will then have the right, after a

$500,000 payment, to carry out a further $6.275 million of work on the Project over the following 3 years to earn a further 30%

interest and form a Joint Venture (JV) with CanAlaska.

The West McArthur Uranium Project covers 35,830 hectares (88,536 acres) commencing 15 kilometres (9 miles) west of

Cameco's majority-owned McArthur River uranium mine. More importantly, the Project is immediately adjacent to Cameco's Fox

Lake uranium discovery with reported inferred resources of approximately 68.1 million lbs based on 387,000 tonnes at 7.99%

U3O8. The Fox lake discovery is within the Read Lake project operated by Cameco (Cameco 78.2%, Areva 21.8%). Further

information on Project is available at

http://www.canalaska.com/s/West_McArthur.asp?ReportID=560713

.

West McArthur Project

Cameco Option

Grid 5 Target Area

To view an enhanced version, please visit:

http://orders.newsfilecorp.com/files/2864/28965_a1505171560053_22.jpg

CanAlaska president Peter Dasler comments, "Cameco's team has confirmed our expectation of significant uranium

mineralization on the C10 conductor.

I expect that we will be further rewarded as drilling progresses to the west where historical

drill hole EL07 intersected intense silicification which reaches to near surface.

In the meanwhile we await further drill results from

Cameco's drilling which is testing the nearby C10 south conductor."

About CanAlaska Uranium

CanAlaska Uranium Ltd. (TSXV:

CVV

) (OTCQB:

CVVUF

) (FSE:

DH7N

) holds interests in approximately 500,000 hectares (1.2

million acres), one of the largest land positions in Canada's Athabasca Basin region — the "Saudi Arabia of Uranium."

CanAlaska's strategic holdings have attracted major international mining companies.

CanAlaska is currently working with

Cameco and Denison at two of the Company's properties in the Eastern Athabasca Basin. CanAlaska is a project generator

positioned for discovery success in the world's richest uranium district. For further information visit

www.canalaska.com

.

About Cameco Corporation

Further information on Cameco can be found at

www.cameco.com

.

The qualified technical person for this news release is Dr Karl Schimann, P. Geo, CanAlaska director and VP Exploration.

On behalf of the Board of Directors

"Peter Dasler"

Peter Dasler, M.Sc., P.Geo.

President & CEO

CanAlaska Uranium Ltd.

Contacts:

Peter Dasler, President

Tel: +1.604.688.3211

x 138

Email:

[email protected]

John Gomez, Corporate Development

Tel: +1.604.484.7118

Email:

[email protected]

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX

Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-looking information

All statements included in this press release that address activities, events or developments that the Company expects,

believes or anticipates will or may occur in the future are forward-looking statements.

These forward-looking statements

involve numerous assumptions made by the Company based on its experience, perception of historical trends, current

conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition,

these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the

predictions, forecasts, projections and other forward-looking statements will prove inaccurate, certain of which are beyond the

Company's control.

Readers should not place undue reliance on forward-looking statements.

Except as required by law, the

Company does not intend to revise or update these forward-looking statements after the date hereof or revise them to reflect

the occurrence of future unanticipated events.